Earlier on Monday, December 20, Zegna made its debut on the New York Stock Exchange and became the first Italian luxury fashion brand to be listed on the world’s largest equities-based exchange platform. Shares started trading under the ZGN ticker at US$10.30 before reaching a high of US$11.32 and closed at US$10.74 — a 4.2 per cent jump from the initial share price.
The momentous day saw the Milan-based brand being valued at around US$3.1 billion as it went public through a SPAC created by Investindustrial and is led by Sergio Ermotti. The IPO helped Zegna raise US$761 million. According to Business of Fashion, the brand has revealed that it will use the funds to “build up its brick-and-mortar footprint and expand beyond its staple suits”.
The Zegna family will its stewardship of the 111-year-old family business with its 66 per cent stake. Gildo Zegna leads the brand as its chief executive and Alessandro Sartori continues to be the artistic director of the menswear luxury brand. Prior to the listing, Zegna has unveiled its new branding direction and has since made several moves.
“Today marks a monumental milestone for Zegna and is the beginning of an exciting and pivotal new chapter in our 111-year legacy,” said Gildo Zegna, CEO of Zegna Group.
“What began as a wool mill built by my grandfather has now become a publicly traded, modern luxury group with a one-of-a-kind manufacturing platform, sophisticated digital operations and global scale and reach.”
Earlier this year, it has decided to drop “Ermenegildo” from its name and is now simply known as “Zegna”. It has folded two sub-brands: Z Zegna, its sportswear line and XXX, the brand’s runway label. The brand is now putting more emphasis on its leisurewear offerings and ramping up its digitalisation efforts. This is to cater to the changing consumer preferences and the casualisation of how men dress these days.
Furthermore, the Zegna logo also gets a new modern font and the brand’s connection to Road 232 in Northern Italy where it was built is reflected in the new double-stripe signifier. All of these signify that the brand is prepared to welcome a new era and its IPO is the start of a new beginning.
“Today’s announcement unlocks the doors to a brighter future – while we continue to follow our own path.”
For more reads on the Business of Luxury, click here.
The post Zegna Goes Public On The New York Stock Exchange appeared first on LUXUO.